Market has been overbought for a while now and greed is high
Head and shoulders pattern formation on 4H and 1D charts can been seen
Enter after a 4H candle close below 1358
I would prefer selling OTM call options
Targets: 1300 | 1245
Call option sellers can hold till expiry
Red zone has been a very important Support Resistance level in the long term past, can been seen on weekly time frames.
Short on 4H closing below 590 for a target of 540
I would prefer selling 620 strike call options
RSI indicating a bullish divergence with a trend resversal pattern breakout
Buying opportunity on pullback at 28.80 - 29-30
Targets - 32.75 | 34.60
Stop Loss is a must since markets are currently overbought and greed is high
One can also consider selling OTM put option and hold till expiry
ITC perfectly met our targets of 190 for a short term trade.
Now price is testing the 200 Day EMA resistance, which has proved to be a point of rejection multiple times.
We have to keep an eye on it, if price can stay above the daily 200EMA and also cross 210 resistance level (Forming a higher high and a higher low) turning it extremely bullish for the longer term
Although there is a bull flag formation, chances of both bullish as well as bearish scenarios co-exist
If we have a candle close below 442, short/sell for a target of 365
If we have a candle close above 505, buy/long for a target of 582